SIPTU has stated that the quarterly national accounts, published today (Thursday, 19th December), show a welcome pick-up in domestic demand with real GDP rising by 1.5% in the third quarter of 2013. SIPTU economist, Marie Sherlock, said: “Signs of a turnaround in construction activity during the summer months along with a pick-up in consumer spending saw domestic demand expand by 2.4% in the third quarter. Unfortunately, this was partially offset by a contraction in net exports which was due to set backs in the pharmaceutical, electronics and food production sectors.“Were it not for a 18% annual increase in tourism and transport in the third quarter the net export position would have been worse.”She added: “Over the first three quarters of 2013, real GDP remains 0.5% below that recorded in the same period in 2012. In order to realise the Government’s target of 0.2% growth for the year, a real GDP increase of 1% in the final quarter will be needed. This isn’t impossible given that export demand is likely to rebound. However, there is ongoing concern about renewed weakness in consumer demand.”
SIPTU says third quarter national accounts indicate pick up in domestic demand
